The Deloitte Australian Mortgage Report, released on Thursday, identifies that a significant rise in interest rates or a drop in wages will trigger a fall in property prices.

The report found that as the economy is relatively healthy, the more likely of these to occur was an increase in the official interest rate. This is very worrying for existing borrowers.

Luckily, the report also said that the Reserve Bank had not signalled any significant rises and although interest rates were more likely to rise now compared with a year ago, they were unlikely to increase quickly.

Another thing noted was that house prices are expected to grow at more moderate levels in 2017; with Sydney and Melbourne doing the best.